Lendlease Global Commercial REIT - UOB Kay Hian 2025-07-03: Deleveraging Within Acceptable Trade-offs

• Lendlease REIT (SGX:JYEU) will pursue options for asset recycling to reduce its aggregate leverage. Management could consider divesting the Jem office, which is fully leased to the Ministry of National Development (MND). It has a long WALE of 19 years with lease expiry in Dec 44. The 12 levels of office space have an NLA of 311,000sf (35% of Jem’s total NLA).
• - Read this at SGinvestors.io -

Tolerating short-term increase in leverage.

• Lendlease REIT has refinanced S$200m 5.25% perpetual securities due in Apr 25 with the issuance of S$120m 4.75% perpetual securities due Apr 30, which generated savings of 50bp, and a new S$ loan of S$80m.
• - Read this at SGinvestors.io -

Upside from rent review at Jem Office.

• Rent review for lease with the MND was completed by end-Feb 25. Management achieved positive rental uplift of 13% for five years effective from 3 Dec 24. The higher rental rate from the rent review could support higher valuation if management proceeds to divest the office block at Jem.

Deleveraging within acceptable trade-offs.

• Read more at SGinvestors.io.

Above is an excerpt from a report by UOB Kay Hian Research.
Clients of UOB Kay Hian may be the first to access the full PDF report @ https://www.utrade.com.sg/.

Read also UOB's most recent report:
2026-03-27 Lendlease Global Commercial REIT - Maintaining Focus On Expansion In Singapore.

Previous report by UOB:
2026-02-19 Lendlease Global Commercial REIT 1HFY26 - Maintaining Focus On Expansion In Singapore.

Price targets by 3 other brokers at Lendlease REIT Target Prices.

Listing of research reports at Lendlease REIT Analyst Reports.

Relevant links:
Lendlease REIT Share Price History,
Lendlease REIT Announcements,
Lendlease REIT Dividend Payout Dates & Corporate Actions,
Lendlease REIT News